Gold, Liquidity and Secured Loans in a Multistage Economy. Part I: Gold as Money
A multiperiod exchange economy with gold used both as money and as jewelry is examined in this paper. The existence of Nash equilibria is proved for the market games with ﬁnitely many traders as well as the games with a continuum of traders. For market games with a continuum of traders at inﬁnite horizon, the existence of stationary Nash equilibria has been proved under the assumption that gold is properly distributed at the beginning or a secured loan between traders is available.
Shubik, Martin and Yao, Shuntian, "Gold, Liquidity and Secured Loans in a Multistage Economy. Part I: Gold as Money" (1988). Cowles Foundation Discussion Papers. 1114.